IOC is looking at equity partnership with companies like Saudi Aramco and Kuwait Petroleum, who can supply crude oil to the Paradip refinery project in Orissa which has an annual capacity of 15 million tonnes

State-owned Indian Oil Corp (IOC) on Wednesday said that it is looking at equity partnership with companies like Saudi Aramco and Kuwait Petroleum for its Rs29,777-crore Paradip refinery project in Orissa, reports PTI.

"Thinking (of inducting equity partners) is on. We are thinking of offering equity to someone who can bring synergy to the project," IOC chairman BM Bansal told reporters in New Delhi.

IOC is looking at companies which can supply crude oil to the 15 million tonnes a year refinery that is scheduled to be completed by March 2012.

Companies like Saudi Aramco, the world's largest crude oil producer, and Kuwait Petroleum Corp may fit into the scheme as oil suppliers to the project.

"So far, discussions have not taken place with anyone but we will like to begin them soon," he said. "Strategically, we wanted to offer equity (closer to project completion) at a premium, but if financial problems persist we will have to advance it," Mr Bansal added.

IOC had last year signed a loan agreement with a consortium of lenders led by State Bank of India for term loan of Rs14,900 crore for the project.

Mr Bansal said IOC is targeting commissioning of the refinery in the first quarter of 2012. The company had some time back split the refinery-cum-petrochemical complex into two, deciding to complete the refinery first and follow with the chemical unit.

The Paradip refinery is being configured to process the toughest, heaviest and the dirtiest crudes which are cheaper than the cleaner and easier varieties.

The refinery will have a Nelson Complexity Index of 15.

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rajendadra pras

7 years ago

i am pilling contractor

The pharmaceutical company has failed to get the US FDA’s approval for launching the generic version of Flomax, thereby missing the opportunity to launch the drug in America with exclusive marketing rights

Pharmaceutical company Ranbaxy Laboratories Ltd, a unit of Japan's Daiichi Sankyo Co, on Wednesday said that it has failed to get the US health regulator's nod for launching a generic version of Flomax, a prostrate drug, thereby missing the opportunity to launch the drug in America with exclusive marketing rights, reports PTI.

Flomax is a patent medicine from Japanese drug maker Astella Pharma's portfolio and the drug is also known by its generic name—Tamsulosin hydrochloride.

"We regret that, despite our best efforts, we were not able to get an approval for the product (Flomax), and hence will not be in a position to launch the product," a Ranbaxy spokesperson said.

Earlier in 2007, Ranbaxy Laboratories had signed an agreement with Astellas and Boehringer Ingelheim for ending the patent litigation regarding Flomax drug in US courts.

Under the terms of the agreement, Ranbaxy was supposed to enter the US market on 2 March 2010, eight weeks prior to expiration of the paediatric exclusivity.

During the period of paediatric exclusivity, Ranbaxy would have been the only generic manufacturer to commercialise this product in the US market.

However, the Gurgaon-based company has failed to get the approval from the US Food and Drug Administration (FDA), which is mandatory before launching the drug in the American market. Thus, the company missed an opportunity to launch the drug in the US market with exclusivity.

The total annual sales of Flomax are estimated to be $1.20 billion in the US.

The minority shareholders of Kolkata-based aluminium foils maker India Foils have been given a raw deal under the proposed merger scheme with packaging solutions provider Ess Dee Aluminium Ltd. In what appears to be another case of absolute apathy and discrimination against minority shareholders, the management of Ess Dee Aluminium has put a ridiculously low valuation on India Foils that will leave these shareholders high and dry.

Apparently, Ess Dee Aluminium is pushing for a share-swap ratio of 1,285:1 that means shareholders of India Foils will have to surrender their 1285 shares to get a single share of Ess Dee. When the same is calculated with Ess Dee’s current share price of Rs400 per share, the value of each India Foils share comes out to be a paltry 31 paise only. That too when during the last eight months, India Foils’ shares have been trading between Rs12-Rs16 per share.

According to an extra-ordinary general meeting (EGM) notice sent to shareholders, Mumbai-based chartered accountant firm MP Chitale and Co did the valuation for the merger.

In November 2008, Ess Dee bought a majority stake in India Foils for Rs130 crore from Anil Agrawal led Vedanta group as part of the rehabilitation scheme approved by the Board for Industrial & Financial Reconstruction (BIFR). Now Ess Dee wants to merge India Foils with itself and has proposed the merger scheme with 1285:1 ratio. Since Ess Dee promoters already hold 89.4% stake in India Folis, they are ‘forcing’ the merger on other minority shareholders, said an investor.

According to Hirjee Nagarwalla, a shareholder, he had held shares of India Foils for a long period. “When Ess Dee took controlling stake in India Foils, no open offer was made to the public. Then in 2009, Ess Dee announced that it would merge India Foils with itself. About a month ago, shareholders were notified that the merger ratio has been fixed at 1285:1. In effect, the value of India Foils has been put at 31 paise, when its average traded price for last one year is Rs14. Minority shareholders like me would be left with nothing,” he said.

An email sent to Ess Dee Aluminium officials remained unanswered till the time of writing the story.

India Foils’ shares last traded on the Bombay Stock Exchange on 19 September 2008 at Rs12.95. Before its last trading, the 52-week average share price of India Foils was Rs10.31 per share at the lowest end and Rs30.05 at the highest end. The shares remained untraded till its relisting on 19 June 2009 and on that day it rose to a high of Rs23.95 and a low of Rs17.41. On Wednesday, India Foils closed at Rs7.50, down 3.97% on the Bombay Stock Exchange (BSE), while the benchmark Sensex closed 1.36% higher at 17,000 points.

The minority shareholders also brought to light the heavy trading being carried out in India Foils’ shares. In middle of January 2010, India Foils’ shares surged to Rs20 on heavy volumes. Soon after that, the share witnessed a freefall. The share volumes have seen a sudden spurt, compared to its average volumes over the last few months. This sudden rise and fall in the share price, supported by higher volumes, suggests foul play.

Indeed, if Ess Dee goes ahead and completes the merger with India Foils at the proposed valuation, it will put minority shareholders at a loss. If it decides not to carry out the merger or the swap ratio is altered, then the trading in India Foils’ shares should raise some eyebrows. People who have been buying at low prices will benefit. Either way, the on-goings in this case demand careful scrutiny by the regulator.

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BINOD DALMIA

6 years ago

WE HAD BOUGHT SHARES OF INDIA FOIL THINKING IT IS TAKEN BY A GOOD GROUP AND BOGHT AROUNG 30000 SHARS IN DIFRENT FOLIO AT A AVARAGE PRICE OF RS.6 SAY RS.2LACS BUT THE GOOD GROUP HAD CEATED AND SEBI ALSO INGNORED THE MATER AND OUR VULUE VANISHED AND OUR FULL CAPITAL WIPED OUT THE LAST QUOTATION WHEN THE CO WAS DELISTED WAS ABOVE RS.5 HOW CO CAN GIVE A SHAREHOLDER ONLY 30PAISE HOW CO INTENTION ALOW TO CHEAT PUBLIC AS HE IS ALSO GO TO SKY EMPTY HANDED AND HOW SEBI ALOW WITHOUT SEING ANY FACTS & FIGURE

I HAVE 7000 SHARE OF INDIA FOIL IT AROUND 52000/- BUT NOW ITS VALUE IS ONLY 2000/- A CHEATING HAS BEEN DONE WITH MINORITY SHARE HOLDERS

Manoj

Dear Sir

I have 380 india foils share but till date i have no any activity in this share so pls tell me what i do bcz ess dee ratio is 1285:1 and i have only 380.

PARDEEP

6 years ago

I have 1000 shares of Indian foil, but till date i did not rtecieved any amount or any share of ESS, its totaly rediucalsoily done by india foil to shake hands with ESS , like this attempt demoralize the retail investor sentiment.

SEBI playing a dirty role among investor and company to cheat peoples it's really a dirty game of INDIA FOILS and ESS DEE. Fucking SEBI will be fucked by someone very soon

Viji

India Foils is a Fraud company cheated the share holders by joining the hands with Ess Dee Aluminium

PRAVEEN JAIN

6 years ago

I have 800 share of India Foils in a avrege price of Rs.12/- now I have not received any share in ESS DEE and not any payment received
i'm shocked to know that the merger imect on India foils share holder is 0.32 paise.
This is completly a big "LOOT" supported by SEBI and Indian Govt.
At lease they give payment according to last market price.

BINOD DALMIA

Co like vedant and ess dee all think they will take away all the money with them at heven they forget they are ceating people and ceated money will never be bring peach in your life

BINOD DALMIA

6 years ago

where is sebi they are with rich person not with minority when small investor looted by major co like RNRL/RPOWER, INDIAFOIL/ESSDEE ALLUMINUM where sebi protect share holder it was better not give any share take all the share of india foil free of cost

Please some one file a case against the EssDee and India foils and what government and SEBI is doing, these rich people are looting the public money.

Shoeb Kadri

Harsh Sharma

7 years ago

in my view what sanket has presented is an inappropriate way of analysing the matter. Whenever a company is in BIFR the SWAP ratio is decided by BIFR itself and no company can influence the valuation part of it.

At the same time how reasonable its for someone holding shares of India Foils a sick company and assuming that it will become a gold mine overnight and start giving you 14 times value over its face value of Re. 1 when we know a BIFR company is a negative networth company.

Just for benefit of some greedy shareholders if any responsible corporate stop reviving a sick company how unfortunate it can be for our country in general and the local area where this company has started giving lot of employment generation potential to the locals

I belive the media in India feeds the citizens in their own way which quite often in not correct